Day 041 - 28 Oct 94 - Page 43


     
     1        that we saw, they were always the typical McDonald's meal,
     2        basically the Big Mac or cheeseburger, french fries and
     3        soft drink; is that fair comment, that that is the main
     4        promotional meal that you are projecting?
     5        A.  No, that varies at different times and to suit
     6        different objectives.  In the past we have advertised
     7        chicken very heavily, breakfast we have advertised heavily.
     8
     9   Q.   But of those films that we saw are they a fairly
    10        representative sample of your adverts?
    11        A.  Well, we have produced in the last few years something
    12        like 130 different commercials.
    13
    14   Q.   But that sample which is shown -----
    15        A.  But I think the sample there was showing some of our --
    16        more of our core products.  We have been on television with
    17        pies, with cherry pies.
    18
    19   Q.   OK, so would it be more accurate to say that basically the
    20        hamburger (with or without cheese), fries and the soft
    21        drink is the core combination but there are others that
    22        occasionally are promoted as well?
    23        A.  The core sale of McDonald's products and, therefore,
    24        what we advertise, because that is where your return is, is
    25        in those core hamburger products which I would include
    26        chicken as well within there, a fries and a drink.
    27
    28   Q.   Would it be possible for you to choose to promote, for
    29        example, salads in the same way that you promote that core
    30        combination in those films?  Could you spend, you know, £15
    31        million of TV advertising that promoted salads, if you
    32        chose to?
    33        A.  It would be possible to do so but foolish from a
    34        marketing point of view to spend £15 million supporting
    35        salads at our restaurants.
    36
    37   Q.   May be salad is not a good example because it is not
    38        available at all your stores, only in a limited number.
    39        You say you are a hamburger corporation, but you said that
    40        your concern is quality service, value, cleanliness,
    41        whatever the phrase is -- sorry, when you nod you have to
    42        say "yes" because otherwise it does not get on the
    43        transcript.
    44
    45   MR. JUSTICE BELL:  I think he is probably waiting for the end of
    46        your question.
    47
    48   MR. MORRIS:  He did nod.
    49
    50   MR. JUSTICE BELL:  That may just be an indication that he is 
    51        following what you are putting to him. 
    52 
    53   MR. MORRIS:  Yes.  (To the witness):  You are not restricted to
    54        hamburgers; presumably, McDonald's, is it not, is capable
    55        of selling, as you say, fish products; it is capable of
    56        selling any product, presumably, that people can eat, any
    57        popular product?  It would not affect its quality and
    58        service and all the other things?
    59        A.  I am sure it would be possible for us to sell other
    60        products, and if we sold too many other products, then it

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